Potential global strategies
Focus in on high-margin countries
Strategic competition
Strategic management
Use of technology
Expand the company marketplace
Groupon has clear, simple mission statement
Groupon culture
Danyelle – Assess potential global strategies for the organization.
Since the new CEO took over 2015, he has committed Groupon to operating in countries where it has the highest margins, taking Groupon’s geographical reach from almost 50 countries down to just 15 (Dille, 2014).
The company has been able to strategically settle its financial obligations such as leverage, and it controls its costs by using cost-effective production methods in such a way that it has been able to profit from its business strategy.
Groupon is well positioned in the market as it can exploit modern technology and mobile communications. These avenues ensured more quality goods and services reach its clientele, and as production is enhanced, time is also saved, resulting in the net increase in the efficiency and effectiveness of the company. Consequently, the company’s customer base has been increased.
Its mission statement communicates of Groupon’s goals in a simple manner that ensure that’s all employees and other stakeholders are motivated to work towards achieving the company’s main objectives. Groupon’s culture is unique since it exhibits the organization’s values and mission, a fact that encourages its stakeholders to work with all the seriousness required since they are all working towards a common objective. The company’s culture is good evidence of why the company excels in its line of work.
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Potential global strategies, continued
Good customer relations
Groupon is situated in strategic position
Strong international brand
Groupon Corporate social responsibility
Use of the private equity and capital
Groupon has created new market spaces
Organization structure
Danyelle –
Groupon is well known for treating its customers in the right manner and more so for meeting their expectations by providing what they want and need at a bargain. The company has good customer relations, and it is always available to meet its customers’ complaints and demands, among other considerations, which makes its clients feel cared for and valued. This enduring practice has attracted Groupon a lot more customers from all corners of the world. Being that Groupon’s customer services is always available, so that its consumers can freely contact it in case of anything. It fulfills its obligation to satisfy its clientele by responding to their queries in an expeditious manner.
In deciding on a geographic location, Groupon settled for a city center as it is a conveniently accessible location for its investors, employees, customers, suppliers, and other stakeholders. This operating environment being convenient is particularly beneficial during economic slowdowns and recovery (Mileski, J. P., & Franklin, C. L, 2017).
Groupon continues to have strong and unique brands that give it so much competitive advantage that the company has almost become a monopoly. This advantage has continued to make the company attractive to various investors who have been encouraged by its potential for long-term sustainability. The company has been consistent in using its capital and private equity for its growth and development, so much so that it has become a global force.
Indeed, the company’s structure greatly impacted on its growth and success. It remains one of the reasons that Groupon has remained flexible and able to easily adjust to changes arising in its operational environment. With a first mover status, the company was able to grab huge market share even as it retains a huge portion of its loyal clientele. More importantly the company has brought to the coupon industry value components such as collective buying.
It should be known that all these global strategies alone cannot work. Good management is vital to ensure that all are strictly followed and that each of them is productive. Management should always work with the employees to ensure that ideas are shared and that business operations are improved in both the short and long term (Chaston, 2015).
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